FTA Issues Buy America Decisions

On December 18, 2015, FTA denied Watts Construction LLC’s request to correct its Buy America certification submitted to the Honolulu Authority for Rapid Transportation (HART) with its bid to construct three stations, known as the Kamehameha Highway Stations Group (contract RFB-HRT-838104).  Watts submitted both certifications of compliance and non-compliance with Buy America.  FTA denied the request because Buy America regulations state that situations where the bidder or offeror submits certificates of both compliance and non-compliance is not part of “inadvertent or clerical error.” Since Buy America requirements prohibit re-certification under those circumstances, FTA denied Watts’ request to recertify.  On December 8, 2015, after conducting a Buy America investigation, FTA determined that a track geometry car procured by the San Francisco Bay Area Rapid Transit District (BART) complied with the domestic content and final assembly requirements that apply to rolling stock.

Additionally, on December 18, 2015, FTA issued a letter to Los Angeles County Metropolitan Transit Authority regarding the applicability of Buy America to concrete ties.  FTA determined that the concrete tie is a component of a concrete tie-based fastening system in which the tie-mounted shoulder works in conjunction with the loose clips, mounts, and insulating pads to secure the rails to the tie.  Because the shoulders have been permanently incorporated into the ties during the manufacturing process, they are not separate components; rather, they are subcomponents of the concrete ties and are not required to be sourced domestically.  This interpretation is consistent with guidance issued by the Federal Railroad Administration on similar ties.